The Chinese domestic ferromolybdenum market has seen a downward trend over the past week, due to sluggish market demand, while the supply situation has registered an improvement. On the other hand. the domestic ferrovanadium market has entered a stable trend. Given the limited room for further decline in ferrovanadium prices, the ferrovanadium market is likely remain stable in the coming period.
Product name | Specification | Place of origin | Price (RMB/mt) | Weekly change (RMB/mt) | Price ($/mt) | Weekly change ($/mt) |
Ferromolybdenum | Mo60 | Jinzhou | 144,000 | -3,000 | 21,589 | -450 |
Ferrovanadium | V50 | Panzhihua | 93,000 | - | 13,943 | - |
The mainstream quotations in the ferromolybdenum market in Jinzhou are at RMB 143,000-145,000/mt ($21,439-21,739/mt), down RMB 3,000/mt ($450/mt) week on week. Meanwhile, market quotations for domestic origin molybdenum concentrate (45 percent grade) are currently at RMB 2,100-2,150/mtu ($315-322/mtu), slightly down RMB 50/mt ($7.5/mt) week on week. International ferromolybdenum prices have remained relatively stable, with the current prices of bottled molybdenum oxide at $16.1-16.3/lb and with the European delivery prices of 60 percent Mo at $41.2-42.5/kg Mo.
Over the past week the Chinese ferromolybdenum market has seen few transactions, with domestic steel mills tending to abstain from purchases. Steel mills' purchase prices at the lowest level have declined to RMB 142,000/mt ($21,289/mt). Looking at the current market situation, influenced by power rationing measures, the production of medium and small-sized steel mills has been limited, and so demand for ferromolybdenum from these steel mills is unlikely to see an improvement. China's ferromolybdenum market is expected to remain weak in the coming period.
Ferrovanadium prices in China have stopped falling, instead following a stable trend over the past week. Currently, domestic quotations of ferrovanadium (50 percent) are now in the range of RMB 92,000-94,000/mt ($13,793-14,093/mt), unchanged week on week, with prices of vanadium pentoxide (98 percent flakes) standing at RMB 83,000-85,000/mt ($12,444-12,744/mt), unchanged week on week. Meanwhile, in Europe, the ferrovanadium market has continued to be characterized by weakness. Quotations of vanadium pentoxide (98 percent flakes) have declined to $6.6-6.9/lb, while market quotations of ferrovanadium (V70-80) are at $29-30.5/kg.
The Chinese ferrovanadium market has also registered low transaction volumes. Recently, demand from the steel market has been sluggish and purchase prices from steel mills have been at RMB 92,000-94,000/mt ($13,793-14,093/mt). Currently, traders and distributors are maintaining a wait-and-see policy, with few inquires being made. Looking at the current situation, there appears to be little room for further decline in the ferrovanadium market and so stability may continue to be seen in the coming period. In addition, the international market has also been recording low demand.
In October, China's ferrovanadium exports totaled 619.366 mt, down 19.96 percent month on month, but surging 269 percent year on year. In the first 10 months of the current year, China's exports of ferrovanadium reached 4,603.153 mt, up 135 percent compared to the correponding period of 2009.